Results season to kick in, could be next trigger for markets

New Delhi, Apr 7:  The week gone by consisted of five trading sessions and markets gained on three of the five sessions.

On Friday, markets were up a tad with BSESENSEX up a mere 21 points while NIFTY was down 1 point. BSESENSEX gained 596.87 points or 0.81 per cent to close at 74,248.22 points while NIFTY gained 186.80 points or 0.84 per cent to close at 22,513.70 points. The broader markets saw BSE100, BSE200 and BSE500 gain 1.14 per cent, 1.62 per cent and 2.12 per cent respectively. BSEMIDCP was up 3.84 per cent while BSESMALLCAP was up 6.64 per cent. The new highs on BSESENSEX was at 74,501.73 points while it was at 22,619 points on NIFTY.

Indian Rupee gained 10 paisa or 0.12 per cent to close at Rs 83.30 to the US Dollar. Dow Jones gained on two of the five sessions and lost on three. Dow lost 903.33 points or 2.27 per cent to close at 38,904.04 points. The US markets are worried about the FED not cutting interest rates in the immediate short term. With employment data and the economic indicators pointing to a roaring economy, one wonders whether a cut would be appropriate at all. Further, the concern about high inflation seems to have taken a back seat and the Central Bank is not too sure about the impact that a rate cut could do to contain inflation. This probably explains the sharp fall in the markets.

RBI decided to keep rates unchanged and believes that inflation is being tamed. While inflation is cooling off, RBI Governor Shaktikanta Das ‘would like the elephant to return to the forest’. With the country in the midst of elections for the Lok Sabha, no one expected any rate cut this time around.

In primary market news, we had one listing and one issue opening and closing for subscription during the week. There is no issue expected during the coming week on the main board.

Shares of SRM Contractors Limited who had issued shares at Rs 210 listed on the bourses on Wednesday, April 3.